tv Cavuto on Business FOX News April 28, 2012 10:30am-11:00am EDT
neil cavuto on on top union tower over the top. saying yes, unions at the work place come monday. pennsylvania democrats saying no to this congressman and now, now, the reports that the president's reelection campaign is giving union representatives a private tour of the democratic national convention site in charlotte. and maybe some big money? and why it's all making charles payne worry big time. we're also joined by ben stein, dagen mcdowell, adam lashinsky and charlie gasperi gasperino. >> it's simple. the power grab, one-two combination and crush corporate profits and instill noncompetitive rules in the work place and keep the mediocre workers and it's going to be a catastrophe, look at them. and the automakers, we see what happens there, and the airlines see what happens there and public government see what happens there.
it's a no brain, a fantastic week and you didn't mention boeing, they shoo shook down boeing and unions, great weeks for them. >> because i forgot boeing, it doesn't have to reminds me. >> and you know what, and it's-- (laughter) >> a little over yourself, here, okay? and the show is for now-- >> and the unions, but not cavuto. >> exactly. but, adam what do you make of not only the broadside here, but on this issue, a good week for unions, we were flexing them big time. >> well, i think this is what journalists call a dog bites man story. this is exactly what it is next, it's not a surprise that the president is close with labor unions, and nor is it toward for labor unions to get to-- >> adam in the that case, they've already committed 400 million dollars to the
president's reelection efforts, right and now the president goes back to them and in convention 2, come on, now you're getting a little, a little-- >> but in all seriousness, any special interest, any special interest group, right, left, center, martian, you know, enforces its votes according to its interest. >> if boeing picked up the fees on the last republican convention, you would be apoplectic. >> if they make contributions in accordance with the finance lines. >> adam, they can't make contributions to this campaign or convention. isn't that the sort of dirty doings. >> you can pay for the catering, you can't pay for the convention, but-- >> charlie, i think the laws are ridiculous, shameful, but
they are what they are. >> and i'm proud we have an impact, you actually called a union a special interest. the notion that the president treats them as a partner in building jobs. listen, i'm a union guy. >> i don't think it's absurd. >> it is absurd. and-- >> what union were you with. >>. >> my dad was-- >> air not. >> no. >> that's very different. >> you said you're a union man. >> i love labor, i have no problem-- >> you just said i'm a union man and you're not are are you're not. >> and you want to be a union. >> my dad was a union. >> i was in union and i hate it had. >> a >>. >> you're not a union guy. >> i am. i am a union guy. >> all right, and ben actually is. >> i am a member of screen actors guild, writer's guild of american west and american federation of radio television artists and the laws transferred to unions are he
extremely bad. they're a fading portion of the u.s. and raise a hundred million for campaigns and when you think of what they were like in the 50's, 60's, early '70s, they're nothing, that's nothing. >> the public sector unions. >> then i would say that it's dangerous to now underestimate the power of the the unions which we're seeing with the governor john kasich going again, moving to rescind his efforts it restrict collective bargaining, again, with scott walker, the governor there and the recall election, and the power of the president to give more power to the unions. you don't need card check, i said this years ago, that you could have rulings like the one from the labor relations board to make it easier to unionize. >> and the type of government, scott walker-- go ahead. >> with all due respect to dagen and to charlie, the long-term trend and everybody, with all due respect, the
long-term trend for unions is distinctly negative. they can pitch in a few dollars here and there. >> ben is right. the long-term trend, but-- and the private sector unions or public sector unions? >> public sector unions are strong, but that's a very small part of the labor force. >> here is the thing though, ben is right. if you look at natural attrition, they're fading and america is rejecting them. when the white house says now you must unionize and nlrb steps in and says you must cut deals with the the unions, that changes everything and by the way, if-- >> those are two different things, why is your voice so much larger than everybody else's. >> ben? >> with all due respect they have not said you must unionize, i'm sorry, i didn't hear the last part of what you said. >> there's such a small portion of this country. why do they garner so much power and how come-- >> let me put it this way as a jew and a great friend of israel, why are 4 or 5 million
jews in u.s. mobilize almost all of the u.s. on behalf the israel because they're well-organized and disciplined and in this case israel i love with all my heart and unions, too, and in certain states-- >> unions are much more powerful in certain states. public sector unions in new york state elected the governor. >> i agree with all of the above that the unions are not what they were and they are weakened over time just by attrition to charles' point and they're losing that, but they are leaving behind legacy costs that are staggering, pension costs staggering and growing. unless we get that under control, and try to rein is in, it doesn't matter whether this are three union guys left or union guys like charlie, i goes, who feel it in their hearts. the bottom line it's going to be a financial debacle.
>> it's burdensome to business and job creation, and to my point, just because union are in decline doesn't mean with democratic power behind them and vice versa that this he would continue to move in that way. >> a powerful friend and-- >> you know why? because they control certain things, why is california in such deep, you know what? because of public sector unions and i don't think you can blame jimmy hoffa, what's going on in california and new york state and why we have physical problems in the states and the public sector unions put the government and put the legislature into office. and so-- >> point, too, first of all, we are the country addressing this pension issue, neil, it's partly a union issue, partly management issue and these deals were given, they he weren't just taken, and they-- >> and because you're partly addressing this issue and that would be like me saying, three napoleons tonight and-- we need to do far more
dramatic, or talking around the edges is not doing anything. >> so i won't disagree with that you on that, but the way to solve that problem is to eliminate union rights would not be my approach to solving that problem. >> and it's not saying that we're addressing the issue of the union power. and the wages in this country are stagnant and not risen in real term since 1973. corporates profits are staggeringly high, why are so we so concerned about the wages of union workers when the corporate profits are doing so well, and why are we hammering the unions. >> were you at all concerned, ben, when boeing was paying hell for wanting to-- >> very, very, like that, that was the nlrb counsel did there was an outrage. >> that's what we were seeing more of. >> it's an outrage, but as far as union members getting good wages, good for the union members, i say. and anyway, enjoy them while they last, union members, they won't last.
>> you're a riddle wrapped in enigma. when we come back trapped in tarp and taxpayers are still losing billions on it because banks can't get out of it. adidn't warn you about it on this very show. >> we have submitted money to rescuing one bank in financial existence. >> even more we've got to commit more to the economy. >> and ridiculous! >> any way you want. fully customize it for your trading process -- from thought to trade, on every screen. and all in real time. which makes it just like having your own trading floor, right at your fingertips. [ rodger ] at scottrade, seven dollar trades are just the start. try our easy-to-use scottrader streaming quotes. it's another reason more investors are saying... [ all ] i'm with scottrade.
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uniform succeed. our country succeeds. >> house budget committee chairman paul ryan delivered the g.o.p. response and accuseded president of ignoring the national debt crisis and for political gain rather than facing the country's economics challenges. more headlines connelling your way, 30 minutes from now. i'm patti ann browne, now back to cavuto business on fox. >> neil: i'm not too startled that you know, a lot of this won't be back. i'm started how much won't be paid back. what happened? >> well, the cost of tarp, you know, really relies on things like losing money on the auto bailout. in the end the taxpayers are not going to get paid money that goes out to the the housing programs. and we've actually hold 70%
stake in aig. and so, ultimately profit or loss of tarp depends upon what we're able to get for that, swells our interest in over 400 banks. >> all right. and she's one of the folks that counts the tarp mess. the tarp mess continues, the trouble continues, the new inspector general for the financial bailouts laying it out for me on fbn if you don't get, you should demand. are you ready to admit, young man, i was righten were you completely wrong and despite your superior mind and superior background, much more advanced decades in ars, that you were completely wrong and i was completely right. go ahead. >> i was completely right. tarp was a life saver for this whole country. it cost us 60 billion dollars, it was cheap at twice the price. >> neil: here is what you're going to tell me. >> saved the entire financial system. >> neil: you're telling me, it would have been armageddon without it and you can't prove it. >> it would have been
armageddon without it, the binx would have failed and insurance companies would have failed. >> neil: you can't prove it. >> well, we can't-- and as a matter of fact, we can prove it and. >> neil: we would have had financial armageddon. >> they would have bailed and there are no-- >> were you for tarp? it was in your book and dance both ways. >> here is why, because i-- >> you're a union guy and you-- >> as someone who has been accused of taking down bear-stearns and lehman and the rest of them. >> neil: and everything good about america. >> you know, i think that there are no atheists in the fox hole on this thing. i remember after days after lehman went under, i remember the fact that credit was drying up. >> neil: i know. >> and i remember-- >> and then tarp was what? >> i remember because i broke the story. >> neil: tarp was right yes or no. >> if we didn't have it it would have been a lot worse. >> what's wrong with being a lot worse and getting that
pain over with. in other words, we reported 2.2% gdp growth for the first quarter. think about it, almost four years later. >> nothing to do with it. >> charlie, yeah, we're talking about comes out of our pocket. >> nothing to do with it. >> you're saying we're better of 0. >> citigroup, aig. >> citigroup is better off-- >> merrill-lynch. tarp has nothing to do with the economy. you know why the economy is lousy because president obama did a stimulus package and it failed, didn't know it was failing and-- >> by the way, tarp set the stage for bailouts that needed to be bailed out rescues we had to come back and rescue again. we extended it beyond its origin tensions and pretty soon we were using the money to pay for cash for clunkers, to go back and rescue the automakers. >> those are pennies, pennies, neil. >> not-- >> may be pennies for you, mr. hollywood star, but the bottom line, a slippery slope. >> those are pennies.
>> this has opened the door to untold billions going it bailout other businesses down the road, mark my words. number one, and number two, pan to throw this-- a lot of these losses are because of general motors, so to dove tail with the last segment, the unions makers and the third thing, you want to worry and wring your hands, and we're neck deep in fannie mae and freddie mac, we're neck deep in these companies. >> neil: adam, if you could pipe down and give us your thoughts? >> listen, all true, having said that none of us on this program lived through the great depression, and charles, we would have experienced something like it. >> you don't know. >> if weren't for tarp. >> again, you don't know. >> and you're putting it with a negative that's unprovable. >> why take the chance, neil. >> exactly. >> and that's exactly right. >> and by the way, it was happening. it was happening. >> it was happening.
>> and i remember, i remember when they-- i remember they're lending now more than back then and i'll tell you that-- >> do you realize what has been set in stone since? any company that is in a hint of trouble, we look at ways to bail it out. we look the at ways to support it. >> that's not what they're saying. >> one industry and sector after another that expects the same treatment that those financial industries. >> i would make this point. we're not in the economic condition we are because of tarp, almost nothing to do with it. >> why did we do it. >> the taxpayer money, why? why are taxpayers beholden and certainly to the banks. do you really think that-- >> do you really think some bank in the middle of the country, south carolina, or omaha is going to pick up the pieces for citigroup and do the lending. >> and half the stuff at citigroup is fraudulent stuff anyway, who wants to pick that up. >> and a lot of the losses are gm related, for pete's sake.
>> the bottom line, look what happened. look what happened. >> this has it nothing to do with. >> the economy, we didn't go into a depression. >> here we go. >> and that's what happened. >> well, i wish we had time, but we saved time by talking over one another, but ben, i think you can't admit it, but-- >> not at all. >> really? well, i'm rubber, you're glue, okay? and it's a patdown showdown, did you hear about this, at agents are patting down a little girl with cerebral palsy twice, twice, and the forbes gang plan to stop it from happening to anybody again. the top of the hour, the ceo of the usa, some democrats the idea that mitt romney can run the oval office like a board room. some saying it's exactly what we need. is it? hey, did you ever finish last month's invoices?
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>> boy, well, running the country like a company, how tough is that, says one democrat. just this week, former obama chief of staff bill daley taking a swipe at a business experience of mitt romney and saying, i laugh when i see the idea that somehow the ceo is going to come in and take control and drive, that's not real. charles payne, what do you think. >> i guess you have to have your hand out for a few years to qualify. obviously, the top of the chief executive particularly in this environment, someone who could put things together and accountable, someone who can bring out the best in an organization under pressure.
i think that ceo's prime qualification to be honest with you. >> and ceo's don't know how to work the system and they're very, you know, kind of, i can do all of this. >> i like bill daley, who knows why he's saying this, basically blown out of the white house by jarrett and maybe looking to be treasury secretary. but if you read the context. ceo's come with a certain disposition, my way or the highway. >> an eye on the bottom line and 15 trillion dollars national debt, a trillion deficit. >> you don't need to be a ceo's and ceo's spend so much. >> journalists fooey and they're charging $600. >> you know why jim immelt is in there-- you have become communist during the course of this show. >> would you like jeff immelt to be the president of the united states. >> there's a point. >> the last business executive we had was herbert hoover. >> another good point.
>> charladam, can you make it a trifecta. >> i think it's good thing we're having politicians running the country. >> we're on fire with these guys, all right. guys, thank you very much, charles and dagen, thank you very much. talk to him on the way out. i don't know what-- stocks, in may, go away. our next guest says going away from history and buy these stocks to make your money make it. hi, i just switched jobs, and i want to roll over my old 401(k) into a fidelity ira. man: okay, no problem. it's easy to get started; i can help you with the paperwork. um...this green line just appeared on my floor. yeah, that's fidelity helping you reach your financial goals. could you hold on a second? it's your money. roll over your old 401(k) into a fidelity ira and take control of your personal economy. this is going to be helpful. call or come in today.
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>> linked in. i hope you owned it from the 60's. >> what are you doing, adam. >> vanguard emerging markets, ben will agree that emerging markets are the place to be for forever. ab index funds are the way to do this, not individual stocks. >> ben, what do you think about that. >> a damn good play and for me i like the spdr's, you have to hold them for all eternity and you can't sell them when you die and you have to pass them on to your children and children's children. >> neil: what if you don't care for your chilen, you can't do it, you have to care about your children. >> it's not the children. >> ran if you don't want to do the work and look at individual names and go with this. >> have to leave it. >> all right. and david asman next, h-. can college graduates need loir interest rates but they need jobs. i am david asbin with the white house